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FOR IMMEDIATE RELEASE: Friday, December 13, 2024
CONTACT: Janine De la Vega, PIO | Director of Communications, 408-615-5522 or email jdelavega@santaclaraca.gov
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Santa Clara and Bay Area Host Committee Reach Preliminary Agreement on Key Terms for Hosting FIFA World Cup
Agreement Presented to City Council/Stadium Authority
SANTA CLARA, Calif. – After just over a year of negotiating, the City of Santa Clara and the Bay Area Host Committee (BAHC) have reached preliminary agreement on terms for an Assignment and Assumption Agreement for the FIFA Men’s World Cup matches that are scheduled to take place at Levi’s Stadium in the summer of 2026.
As part of the agreement, all obligations under the Stadium Agreement with FIFA will be assumed by the Bay Area Host Committee with a commitment to reimburse the City for planning and event related costs, currently estimated to total approximately $12M.
“The proposed agreement with the Bay Area Host Committee will protect the City from financial responsibility for the upcoming FIFA World Cup matches,” said City Manager Jovan Grogan. "We are pleased that we were able to structure terms that both protect the City and provide the Host Committee with the certainty that they will have the City services needed to meet FIFA’s requirements. This is a win for all parties.”
Key components of the agreement include:
- The Bay Area Host Committee will assume financial responsibility for hosting 6 matches at Levi’s Stadium from June 13 to July 1, 2026, estimated to cost as much as $50M, inclusive of operating expenses, City charges, and capital improvements to enlarge the field of play to meet FIFA standards.
- Stadium Authority to receive up to a $6 surcharge on each ticket sold to the World Cup matches which will provide opportunities for the Stadium Authority and City to generate revenue from the event.
- Pre-event planning and training expenses are to be billed monthly and the BAHC will provide advance payments to the City for projected Actual Event Expenses, with 50% paid by May 1, 2026, and another 25% paid by June 22, 2026.
- In the event that BAHC is unable to meet its financial obligations to the City, TeamCo (an entity of the 49ers organization) will be legally required to cover the shortfall, with a portion of the ticket surcharge from FIFA games covering the remaining portion. The details of TeamCo’s Guaranty obligation will be set in a separate agreement.
City staff and the Bay Area Host Committee will return to the City Council/Stadium Authority on January 28, 2025 for action on the Assignment and Assumption Agreement. The final terms of the agreement will be released in advance of this meeting.
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About the City of Santa Clara
Located at the heart of Silicon Valley about 45 miles south of San Francisco, the City of Santa Clara truly is “The Center of What’s Possible.” Incorporated in 1852, Santa Clara covers an area of 19.3 square miles with an estimated population of 129,498. Santa Clara is home to an extraordinary array of high-tech companies, including Applied Materials, AMD, Intel, Nvidia, and Ericsson. The City of Santa Clara is also home to Santa Clara University, California’s Great America Theme Park, and Levi’s® Stadium, home of the San Francisco 49ers and future host site of Super Bowl LX and FIFA World Cup in 2026. For more information, visit SantaClaraCA.gov. |
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